When am I entitled to a credit for child care expenses?

You may be able to claim the credit if you pay someone to care for your child (under age 13). This credit can be up to 30% of your expenses. In order to qualify, you must pay these expenses so that you can work or look for work. Generally, to be a qualifying person for the child care tax credit, your child must be a dependent for whom you can claim an exemption. If you are divorced or separated, an exception to this rule may apply. Under this exception, if you are the custodial parent of your child, you can treat your child as a qualifying person even if you are unable to claim the exemption for the child. If, however, you are the non-custodial parent, you cannot treat your child as a qualifying person, regardless of whether you can claim the child’s exemption or not.